The Great Vanish

There were supposed to be millions of people who were uninsurable because of pre-existing conditions. We heard lengthy testimony about their terrible plight. I don’t think it’s too strong to say that this fear–that you could get sick and no one would insure you, that’s right, you, Mr. & Mrs. Middle-Class Voter–was one of the main reasons offered for the health care overhaul. It was estimated by Medicare’s Chief Actuary that around 400,000 would sign up (the CBO estimated 200,000, but only because they assumed that HHS would use its authority to limit enrollment in order to stay within the $5 billion budgeted for the program).

So how many have signed up for this badly needed program? 18,000, less than of the lower CBO estimate. So, in true government fashion, they’ve decided, not to save money, but spend it anyway, which is what governments do best.

The administration is now loosening the requirements (you just need a note from a doctor or nurse saying you’ve been sick in the last year) and lowering premiums. But this doesn’t mean that they’re finally covering more "uninsurables"; it just means they’ve decided to use the money allocated for those people to cover someone else. They’re changing the "high-risk pools" to something that looks a lot more like simply subsidizing insurance. But the goal wasn’t to spend the $5 billion that HHS got in its budget; the goal was to provide insurance for people who want to buy insurance, but can’t find a company willing to write it.

If anyone tries to argue that some government program, this one especially, will stay within its legislative boundaries, they really have no idea how governments are addicted to your money.

2 Comments

Just last night I spoke with a gentleman who cannot get insured, that he has been able to find, because his two dependents are over the age 21 — though mentally and physically handicapped and so still his dependents. “Pre-existing conditions” is the excuse given.

Today we’re trying to find someone who can get around that issue in anticipation of the new law — but you know what? It’s not easy. Try to find how you can take advantage of the Obamacare provision today, will you?

Under these circumstances, I’m astounded that anyone was able to sign up.

Obamacare failure? Hardly. This demonstrates the need for the bill, and the need to get it implemented quickly.

Without Obamacare, health care inflation last year was 20%. That’s greater than the cost increases for the bill. Wake up.

A government program making thing more difficult than they were before? This surprises you, Ed?

The plural of “anecdote” is not “data”. While the gentleman you talked to certainly has a problem that needs to be dealt with, a complete overhaul of the country’s health care insurance system for everyone is not the way to deal with it. The data shows that folks just aren’t signing up for one of the major points of the bill; to insure the uninsurable. It’s not working, for a myriad of reasons, some mentioned by McArdle and indeed one reason mentioned by you.

What is your definition of “success”?

And thus the money is being spent elsewhere, which is what government does; don’t save it, spend it. Given the track record of increased taxes and lower levels of service (especially for those that really need the service, like that gentleman), you’ll be pining for the days of only 20% increases.